Web3 Markets in Motion: Major Shifts Shape the Crypto Landscape 📰

The cryptocurrency sector continues its dynamic run with Bitcoin pushing past critical price levels and major protocols making strategic moves. Here’s what’s driving today’s key developments:

Market Momentum Reaches New Heights

Bitcoin Crosses $90K as Liquidations Accelerate

The flagship digital asset rallied strongly, with Bitcoin recovering above the $90,000 mark in a four-hour surge that triggered over $102 million in short liquidations. This breakthrough comes with the formation of a dragonfly doji pattern, historically signaling renewed bullish conviction heading into year-end trading.

The broader cryptocurrency market capitalization has now surpassed the $3 trillion milestone following the recent correction phase. Bitcoin’s dominance stabilized at 60.35%, reflecting steady institutional and retail participation with consistent trading activity.

DeFi Protocol Evolution: Uniswap’s Bold Move

Major Token Burn Reshapes Protocol Economics

Uniswap made headlines by executing one of DeFi’s largest token reduction events, permanently removing 100 million UNI tokens valued at $592 million. The move achieved 99.9% governance approval and marked the first activation of protocol-level fee capture mechanisms, fundamentally enhancing the token’s economic framework. UNI demonstrated 19% appreciation during the voting period, reflecting market enthusiasm for the structural upgrade.

Layer-2 Competition Intensifies

Base Network Dominates Ethereum Scaling

The Base layer-2 solution reported exceptional growth metrics for 2025, capturing $75.4 million in annual revenue and commanding 62% of total layer-2 protocol earnings. With 9.3 million monthly active users and direct integration advantages, the platform solidified its position as the leading Ethereum scaling infrastructure.

Arbitrum Showcases Ecosystem Strength

Meanwhile, Arbitrum surpassed $2 billion in Aave market size and led peer layer-2s in net capital inflows. Timeboost fee revenues exceeded $6 million, underscoring the network’s liquidity consolidation and scalability credentials.

Institutional Capital Flows & Valuations

Prediction Markets Attract Record Funding

Kalshi announced a $1 billion funding round at an $11 billion valuation, more than doubling its worth in under two months. The prediction market platform achieved weekly trading volume of $2.3 billion, demonstrating mainstream venture confidence in event-based derivative markets.

Aptos Experiences Extraordinary Stablecoin Inflows

Aptos network attracted $386.2 million in stablecoin deposits within 24 hours, surpassing Ethereum and Solana. This activity reflects genuine transactional demand, with total value locked reaching $2.18 billion and daily active addresses exceeding 1 million.

Cross-Chain Infrastructure Developments

XRP Liquidity Unlocks via Wrapped Assets

Ripple announced that Hex Trust will issue wrapped XRP across Solana, Ethereum, Optimism, and HyperEVM networks. The launch includes $100 million in initial total value locked, backed 1:1 by native XRP in institutional custody with 24/7 redemption capabilities.

Forward-Looking Projections

Analyst Forecasts Signal Extended Upside

Fundstrat’s research indicated Bitcoin could reach $200,000 during 2026, with Ethereum trading in the $7,000-$9,000 range in early 2026 and potentially reaching $20,000 over the longer term. These projections reference a possible 5-to-10-year cryptocurrency supercycle driven by institutional adoption tailwinds.

Gaming & Emerging Sectors Rally

Web3 gaming tokens led December’s sector performance, with infrastructure-focused blockchain projects capturing attention over speculation-driven alternatives. Audiera surged 31.53% to $2.98 with $103 million daily volume, while Midnight rallied 29.66%, demonstrating the gaming IP transition to blockchain-based models.

Regulatory & Security Updates

A former contractor was arrested in connection with a major data breach at a prominent exchange, with Indian authorities indicating additional arrests forthcoming. The incident underscores ongoing security challenges in the industry.

Sovereign Bitcoin Adoption Continues

El Salvador accumulated an additional 1,511 BTC during 2025, reinforcing its commitment to digital asset holdings as legal tender and maintaining its dollar-cost averaging strategy throughout the year.

Current Price Snapshot:

• Bitcoin (BTC): $92.70K (+1.60% 24H)
• Ethereum (ETH): $3.15K (+0.44% 24H)
• Uniswap (UNI): $5.83 (-1.82% 24H)
• XRP: $2.12 (+0.71% 24H)
• Aptos (APT): $1.91 (-0.40% 24H)